Dubai: Dubai's Emaar is weighing options to sell fashion e-commerce business Namshi that may include a listing abroad via a SPAC. An outright sale of Namshi may generate $600 million to $700 million in proceeds, while a listing through a special purpose acquisition company (SPAC) could be more lucrative, said a source.
Emaar, which declined to comment, has approached some banks for potential advice on the deal, sources said.
Emaar Malls, the retail arm of Dubai's biggest developer, Emaar Properties, bought a 51 per cent stake in Namshi from Global Fashion Group for $151 million in 2017 shortly after Amazon.com bought Dubai-based e-commerce website Souq.com.
It bought the remaining 49 per cent in 2019 for about $130 million.
Namshi posted revenues of Dh685 million in the first-half of the year, up from Dh664 million in the same period last year.
SPACs are not permitted on UAE bourses, encouraging companies to seek out alternative venues.